Obama To Propose New Laws To Tackle Consumer Data Theft, Student Privacy

U.S. President Barack Obama will announce proposed legislations covering data hacking and student privacy during his speech at the Federal Trade Commission (FTC) on Monday, according to media reports citing White House officials. The scheduled announcement will come ahead of his Jan. 20 State of the Union address, when he’s reportedly expected to delve into the issues of identity theft and cybersecurity.

According to a report by The New York Times, Obama is expected to announce details of the proposed Personal Data Notification and Protection Act, which would require American companies to notify customers within 30 days if their personal data have been compromised. The announcement will reportedly address concerns over cybersecurity and safety, which have intensified after the recent hacking attack on Sony Pictures -- attributed to the North Korean government -- and previous data breaches at retailers like Home Depot and Target.

According to a report by The Associated Press (AP), which cited a White House official speaking on the condition of anonymity, the proposed law would also make it illegal for companies to sell customers’ online information overseas.

“It could be the kind of legislation that protects privacy, protects consumers and actually has a chance for getting enacted,” Jon Leibowitz, a former chairman of the FTC, told the Times, adding that the proposed law might remove the prevailing confusion caused by a “quilt patchwork” of contradictory state laws governing cybersecurity in the country.

In addition to the proposal, Obama is also expected to propose the Student Data Privacy Act, which will reportedly prohibit companies from selling student data collected in schools to third parties -- a major area of concern for parents, who have reportedly expressed fears that their children’s academic and disciplinary records could be shared with advertisers by educational software companies.